Software and Online Store Will Widen Its Versatility, But There Are Hidden Costs
July 8, 2008
Apple Inc.'s iPhone has been the world’s most influential smart phone since its debut a year ago, widely hailed for its beauty and functionality. It was a true hand-held computer that raised the bar for all its competitors. But that first iPhone had two big drawbacks: It was expensive, and it couldn’t access the fastest cellular-phone networks.
On Friday, Apple is launching a second-generation iPhone, called the iPhone 3G, which addresses both of those problems, while retaining the look and feel of the first model’s hardware and software.
The base version of the new iPhone costs $199 — half the $399 price of its predecessor; the higher-capacity version is now $299, down from $499. Yet, this new iPhone is much, much faster at fetching data over cellphone networks because it uses a speedy cellular technology called 3G. And it now sports a GPS chip for better location sensing.
The company also is rolling out the second generation of its iPhone operating system, with some nice new features, including wireless synchronization with corporate email, calendars and address books. And there’s a new online store for third-party iPhone programs that Apple hopes will make the device usable for a wider variety of tasks, including gaming and productivity applications. This new software and store will also be available on older iPhones, through a free upgrade.
I’ve been testing the iPhone 3G for a couple of weeks, and have found that it mostly keeps its promises. In particular, I found that doing email and surfing the Internet typically was between three and five times as fast using AT&T’s 3G network as it was with the older AT&T network to which the first iPhone was limited.
Apple’s new iPhone operating system includes an ‘App store,’ where you can browse for, and download, third-party software.The iPhone 3G is hardly the first phone to run on 3G networks, and it still costs more than some of its competitors. But overall, I found it to be a more capable version of an already excellent device. And now that it’s open to third-party programs, the iPhone has a chance to become a true computing platform with wide versatility.
There are two big hidden costs to the new iPhone’s faster speed and lower price tag. First, in my tests, the iPhone 3G’s battery was drained much more quickly in a typical day of use than the battery on the original iPhone, due to the higher power demands of 3G networks. This is an especially significant problem because, unlike most other smart phones, the iPhone has a sealed battery that can’t be replaced with a spare.
Second, Apple’s exclusive carrier in the U.S., AT&T Inc., has effectively negated the iPhone’s up-front price cut by jacking up its monthly fee for unlimited data use by $10. Over the course of the two-year contract you must sign to get the lower hardware prices, that adds $240, overwhelming the $200 savings on the phone itself. If you want text messaging, the cost rises further. With the first iPhone, 200 text messages a month came free. Now, 200 messages will cost $5 a month, or another $120 over the two-year contract.
The iPhone 3G still has a couple of features that made the first version unpalatable to some potential buyers. It uses a virtual on-screen keyboard instead of a physical one. While I find the virtual keyboard easy and accurate, not everyone does. Also, in the U.S. and in many other countries, the iPhone is still tied to a single exclusive carrier, whose coverage or rate plans may be unacceptable to some.
Here is a rundown of the changes in the new model.
Design: The new iPhone looks almost exactly like the old one. It is the same length and width, has the same big, vivid screen, and has the same number and layout of buttons. The main difference is the back, which is now plastic instead of mostly metal and curved instead of flat. It’s very slightly thicker in the middle, with tapered edges, and weighs a tiny bit less.
The new iPhone 3G (left) delivers much higher Internet download speeds over cellular networks than the original iPhone (right).
Like its predecessor, the iPhone 3G comes in two models distinguished only by storage capacity: 8 gigabytes and 16 gigabytes. The top model is available in black or white.
Apple has greatly improved the audio on the new iPhone. I found the speaker was much louder, for music and for the speakerphone. But the new phone produced an echo when used with the built-in Bluetooth system in my car. Also, the headphone jack is now flush with the case instead of recessed as on the first model, so it can accept any standard stereo earphones.
The camera, however, is still bare-bones. It can’t record video and has a resolution of just two megapixels. The power adapter is now tiny, at least in the U.S., but Apple no longer includes a dock for charging, just a cable.
Software: The basic software is similar. The biggest addition for some users will be full compatibility with Microsoft’s widely used Exchange ActiveSync service, which many corporations use. In my tests, I was able to connect the iPhone 3G to my company’s Exchange servers in a few minutes, and my corporate email, calendar and contacts were replicated on the phone. Any changes I made on the iPhone were reflected almost instantly in Microsoft Outlook on my company PC, and vice versa. Email was pushed to the phone as soon as it was received on the company’s servers.
One drawback: While you can have both personal and Exchange email accounts on the new iPhone, if you synchronize with Exchange calendars and contacts, your personal calendar and contacts are erased.
The new iPhone and upgraded older iPhones also will be able to use a new Apple consumer service, MobileMe, which offers synchronized push email, calendars, photos and contacts.
There are other improvements. You can now delete multiple emails at once, set parental controls and search your contacts. You can also save photos in emails or from Web sites. You can also now open Microsoft PowerPoint files sent as attachments, though I found in my tests that opening larger PowerPoint files crashed the phone.
Some software features missing from the first iPhone are still AWOL on the new one. There’s no copy and paste function, no universal search, no instant messaging and no MMS for sending photos quickly between phones.
Network: Like the old iPhone, the new one can perform Internet tasks using either Wi-Fi wireless networking or the cellphone networks. But the addition of 3G cellular capability makes the new model more useful for Web surfing, email and other data tasks when you’re not in Wi-Fi range. In my tests, in Washington and New York, I got data speeds mostly ranging between 200 and 500 kilobits per second. By comparison, the original iPhone, tested in the same spots at the same time, mostly got cellular data speeds between 70 and 150 kbps on AT&T’s old EDGE network. The new iPhone typically was between three and five times as fast as the old one.
While AT&T now has 3G networks in 280 U.S. cities, and aims to be in 350 by year end, it is converting its cellphone towers gradually, so not all areas of included cities have 3G coverage. The new iPhone falls back to EDGE speeds when 3G isn’t present.
One side benefit to 3G is that in some areas, voice coverage improves. At my neighborhood shopping center, where the first iPhone got little or no AT&T service, the iPhone 3G registered strong coverage. But I still found that calls regularly broke up on some major streets. In New York City, riding in a taxi along the Hudson, one important call was dropped three times on the new iPhone. Finally, I borrowed a cheap Verizon phone and got perfect reception.
Battery life: Apple claims that over 3G, the new iPhone can get five hours of talk time, or five hours of Internet use. Talk time is twice as long on the older EDGE network, and Internet time is an hour better with Wi-Fi.
I ran my own battery tests using the phone’s 3G capability. Although I left the Wi-Fi function on, I didn’t connect it to a network, so the phone had to rely on 3G. In my test of voice calling, I got 4 hours and 27 minutes, short of Apple’s maximum claim and nearly three hours less than what I recorded in the same test last year on the original iPhone. In my test of Internet use over 3G, I got 5 hours and 49 minutes, better than Apple’s claim, but far short of the nine hours I got using Wi-Fi in last year’s tests.
More important, in daily use, I found the battery indicator on the new 3G model slipping below 20% by early afternoon or midafternoon on some days, and it entirely ran out of juice on one day. I overcame this problem by learning to use Wi-Fi instead of 3G whenever possible, turning down the screen brightness and even turning off 3G altogether, which the phone permits.
The iPhone 3G’s battery life is comparable to, or better than, that of some other 3G competitors. But they have replaceable batteries. The iPhone doesn’t.
Third-party software: If things go as Apple hopes, third-party software could be the biggest attraction to the new iPhone 3G, and to upgraded older iPhones. By some estimates, there will be hundreds of these programs, some free and some paid, almost immediately.
Apple didn’t supply me with programs for testing, but I managed to try several on older devices upgraded to the new operating system. I tested a game that used the phone’s motion sensors to control the action, and I tested several programs from America Online, including AOL Instant Messenger; AOL Radio, which streams music from the Internet; and AOL’s Truveo video search engine. All worked very well.
Among the programs Apple has publicly previewed were a sales automation program from Salesforce.com, a game called Super Monkey Ball from Sega and a program for bidding on eBay. Also made public were a news reader from the Associated Press, a program for following live games from Major League Baseball and several programs for doctors, including the Epocrates drug reference.
Bottom line: If you’ve been waiting to buy an iPhone until it dropped in price, or ran on faster cell networks, you might want to take the plunge, if you can live with the higher service costs and the weaker battery life. The same goes for those with existing iPhones who love the device but crave faster cellular data speeds. But if you already own an iPhone, and can usually use Wi-Fi for data, you probably should hold off and get the free software upgrade before deciding whether it’s worth getting the new hardware
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Tuesday, July 8, 2008
Tuesday, July 1, 2008
iPhone 3G on sale 8 a.m. July 11; no-contract iPhone on tap
Looks like we'll have to get up bright and early to buy the new iPhone. Also, AT&T says a "no-commitment" iPhone is "coming soon."
First things first: The new iPhone 3G will go on sale at 8 a.m. next Friday at AT&T retail stores and Apple stores. So if you're planning on lining up, you'd better be ready well before sunrise.
Also, AT&T has finally clarified pricing for current AT&T subscribers who want the iPhone 3G.
In a nutshell, if you're "upgrade eligible" (log into your AT&T account to see if you are), you'll be able to buy the new iPhone for the discounted price of $199 for the 8GB version or $299 for the 16GB model. (AT&T is somewhat vague about the eligibility criteria, although your credit history and the time remaining on your contract are factors.) You'll also have to pay an $18 "upgrade fee."
If you're not eligible for the discount, you'll have to fork over extra for an "early upgrade"-$399 for the 8GB iPhone 3G or $499 for the 16GB model. Ouch.
AT&T also says that a "no-commitment" (read: no contract) iPhone 3G will be available soon, at $599 for the 8GB version and or $699 for the 16GB handset. Pricey, but hey-no two-year contract.
Unfortunately, AT&T won't offer the new iPhone on a prepaid basis, at least not at launch.
Some other items: You will have to get your new iPhone activated at the store, and that means a credit check. So bring a photo ID and your Social Security number (especially if you're not yet an AT&T customer). If you want to cut down on the wait, you can go to an AT&T store now and take care of the credit check early.
There have been some rumors that current iPhone users could simply register the IMEI number of their new iPhone with AT&T clerks-meaning they could finish activating their phones at home. It's a nice idea, but so far, there's no indication from AT&T that such a plan exists.
As for the newly detailed rate plans, there aren't any surprises. Each plan comes bundled with unlimited data; $70 a month gets you 450 minutes and 5,000 night/weekend minutes, while a 900-minute plan with unlimited nights/weekends goes for $90. A 1,350-minute plan will cost $110 per month. Family plans are available, and business data plans will cost $45 a month (versus $30 per month for standard data in the bundled plans). Text messages are extra, too. Individuals pay $5 for 200 texts per month, $15 for 1,500 a month, or $20 for unlimited texting. For family plans, you'll pay $30 a month for unlimited messaging.
AT&T also has a checklist of required documentation, fees, and rate plans. Download the PDF here.
Guess that $199 price Steve Jobs announced for the iPhone 3G should have come with a massive asterisk, huh?
First things first: The new iPhone 3G will go on sale at 8 a.m. next Friday at AT&T retail stores and Apple stores. So if you're planning on lining up, you'd better be ready well before sunrise.
Also, AT&T has finally clarified pricing for current AT&T subscribers who want the iPhone 3G.
In a nutshell, if you're "upgrade eligible" (log into your AT&T account to see if you are), you'll be able to buy the new iPhone for the discounted price of $199 for the 8GB version or $299 for the 16GB model. (AT&T is somewhat vague about the eligibility criteria, although your credit history and the time remaining on your contract are factors.) You'll also have to pay an $18 "upgrade fee."
If you're not eligible for the discount, you'll have to fork over extra for an "early upgrade"-$399 for the 8GB iPhone 3G or $499 for the 16GB model. Ouch.
AT&T also says that a "no-commitment" (read: no contract) iPhone 3G will be available soon, at $599 for the 8GB version and or $699 for the 16GB handset. Pricey, but hey-no two-year contract.
Unfortunately, AT&T won't offer the new iPhone on a prepaid basis, at least not at launch.
Some other items: You will have to get your new iPhone activated at the store, and that means a credit check. So bring a photo ID and your Social Security number (especially if you're not yet an AT&T customer). If you want to cut down on the wait, you can go to an AT&T store now and take care of the credit check early.
There have been some rumors that current iPhone users could simply register the IMEI number of their new iPhone with AT&T clerks-meaning they could finish activating their phones at home. It's a nice idea, but so far, there's no indication from AT&T that such a plan exists.
As for the newly detailed rate plans, there aren't any surprises. Each plan comes bundled with unlimited data; $70 a month gets you 450 minutes and 5,000 night/weekend minutes, while a 900-minute plan with unlimited nights/weekends goes for $90. A 1,350-minute plan will cost $110 per month. Family plans are available, and business data plans will cost $45 a month (versus $30 per month for standard data in the bundled plans). Text messages are extra, too. Individuals pay $5 for 200 texts per month, $15 for 1,500 a month, or $20 for unlimited texting. For family plans, you'll pay $30 a month for unlimited messaging.
AT&T also has a checklist of required documentation, fees, and rate plans. Download the PDF here.
Guess that $199 price Steve Jobs announced for the iPhone 3G should have come with a massive asterisk, huh?
Monday, June 9, 2008
.Mac Rebranded as MobileMe
Apple rebranded its .Mac online service Monday, adding syncing features aimed at iPhone and PC users in addition to the Mac.
Dubbed MobileMe, the new service offers push e-mail, calendars, and contacts for users, keeping that information up-to-date whether they're viewing it at a computer or an iPhone. The Web-based MobileMe works with the iPhone's mail, calendar, and contacts applications in addition to working with Mail, iCal, and Address book on the Mac and Outlook on the PC.
It's like having "Exchange for the rest of us," said Phil Schiller, Apple's senior vice president of Worldwide Product Marketing during his presentation of MobileMe at Monday's Worldwide Developers Conference keynote.
MobileMe also offers online storage for photos, documents, and files.
Like .Mac, MobileMe will cost US$99 per year; it offers 20GB of storage. There will be a 60-day free trial available when the iPhone 2.0 software ships in early July. Current .Mac subscribers will be automatically upgraded to MobileMe
Dubbed MobileMe, the new service offers push e-mail, calendars, and contacts for users, keeping that information up-to-date whether they're viewing it at a computer or an iPhone. The Web-based MobileMe works with the iPhone's mail, calendar, and contacts applications in addition to working with Mail, iCal, and Address book on the Mac and Outlook on the PC.
It's like having "Exchange for the rest of us," said Phil Schiller, Apple's senior vice president of Worldwide Product Marketing during his presentation of MobileMe at Monday's Worldwide Developers Conference keynote.
MobileMe also offers online storage for photos, documents, and files.
Like .Mac, MobileMe will cost US$99 per year; it offers 20GB of storage. There will be a 60-day free trial available when the iPhone 2.0 software ships in early July. Current .Mac subscribers will be automatically upgraded to MobileMe
Apple New iPhone Priced $199.
Arriving in early July, the new "iPhone 3G" will sell for hundreds less than the original and—as expected—will come equipped with GPS and access to AT&T's speedy HSDPA network. Also: A new version of Mac OS X is on the way, along with a major revamp of Apple's .Mac online service.
iPhone 3G
It's real, it's thinner (at the edges, at least), and, truth be told ... it looks an awful lot like the original iPhone, from the front anyway. A couple of key changes, however: The headphone jack is now flush with the case—so no more need for a headset adapter—and the back panel is now glossy black plastic, which looks good, but may well be more susceptible to scratches than the original brushed—metal version.
So that's how the new iPhone looks. What's inside? As expected, 3G and GPS, good for turn—by—turn directions and geotagging photos. Nice, but we'd heard rumors of videoconferencing—which, judging from the lack of a front—facing camera on the iPhone 3G, isn't in the cards. Jobs claims five hours of "3G" talk time on the new iPhone (or 10 hours when using EDGE only), plus seven hours of video, 5—6 hours of Web browsing, and 24 hours of audio.
Also, no word on iChat instant messaging for the iPhone; then again, AOL has already announced it's making its own AIM app, and I'm sure plenty of other IM apps will arrive once the App Store launches (more on that in a moment).
And while we're at it—there was no discussion of music or video downloads over AT&T's HSDPA network, reportedly a sticking point between the carrier and Apple.
That said, it turns out the rumors of lower prices were true. A 16GB iPhone 3G will sell for $299, while the 8GB will go for $199. That sounds a lot better than $599 for the original 8GB iPhone. Also: The iPhone in white!
And finally, the release date: July 11. Looks like we've got a little wait on our hands.
iPhone Firmware 2.0
We already knew that the new App Store (which will come stocked with applications built by third—party developers, courtesy of the iPhone SDK), Exchange support (including over—the—air syncing of e—mail, contacts, and events), and IT—focused security enhancements would come with the latest version of the iPhone firmware, but now we have a few more details on the upcoming iPhone update, along with an estimate of availability: early July.
First, of all: contact search, which will pull up matching contacts the moment you type starting characters. We'll also be getting read—only support for PowerPoint documents, as well as full support for iWork, Apple's Office competitor.
Next up: the ability to move or delete groups of messages, or even save photos attached to e-mails in the iPhone's photo album (no mention of saving images from Web pages).
Rounding out the new Firmware 2.0 features: parental controls (including restrictions on YouTube and the iTunes Store—sorry, kids); a new and improved scientific calculator (just turn the iPhone on its side to get all the new buttons); and support for Chinese, Japanese, and other languages.
Applications
A series of developers demoed at least a dozen games and applications during the keynote. Among the highlights: Sega's previously announced Super Money Ball (now with 110 "stages"), an auction tracker from eBay, GPS—assisted social networking from Loopt (good for seeing if you have buddies nearby), a mobile blogging app (including photos) from TypePad, an AP news tracker complete with videos, and an app from Major League Baseball that'll real—time (or close to it) game highlights.
Games such as Super Monkey Ball will sell for $9.99 when the App Store launches, while the other apps I just mentioned will be free.
MobileMe
Looks like the leaks about a revamped .Mac were true. As expected, the service—now dubbed MobileMe—automatically syncs your e-mail, Address Book contacts, iCal events, and photos over the air between iPhones and Macs. Even better, MobileMe will support Outlook for PC users. Unfortunately, no price drop—we're still talking $99 a year, although there will be a free 60-day trial. Look for MobileMe to arrive in early July, along with the new iPhone firmware
iPhone 3G
It's real, it's thinner (at the edges, at least), and, truth be told ... it looks an awful lot like the original iPhone, from the front anyway. A couple of key changes, however: The headphone jack is now flush with the case—so no more need for a headset adapter—and the back panel is now glossy black plastic, which looks good, but may well be more susceptible to scratches than the original brushed—metal version.
So that's how the new iPhone looks. What's inside? As expected, 3G and GPS, good for turn—by—turn directions and geotagging photos. Nice, but we'd heard rumors of videoconferencing—which, judging from the lack of a front—facing camera on the iPhone 3G, isn't in the cards. Jobs claims five hours of "3G" talk time on the new iPhone (or 10 hours when using EDGE only), plus seven hours of video, 5—6 hours of Web browsing, and 24 hours of audio.
Also, no word on iChat instant messaging for the iPhone; then again, AOL has already announced it's making its own AIM app, and I'm sure plenty of other IM apps will arrive once the App Store launches (more on that in a moment).
And while we're at it—there was no discussion of music or video downloads over AT&T's HSDPA network, reportedly a sticking point between the carrier and Apple.
That said, it turns out the rumors of lower prices were true. A 16GB iPhone 3G will sell for $299, while the 8GB will go for $199. That sounds a lot better than $599 for the original 8GB iPhone. Also: The iPhone in white!
And finally, the release date: July 11. Looks like we've got a little wait on our hands.
iPhone Firmware 2.0
We already knew that the new App Store (which will come stocked with applications built by third—party developers, courtesy of the iPhone SDK), Exchange support (including over—the—air syncing of e—mail, contacts, and events), and IT—focused security enhancements would come with the latest version of the iPhone firmware, but now we have a few more details on the upcoming iPhone update, along with an estimate of availability: early July.
First, of all: contact search, which will pull up matching contacts the moment you type starting characters. We'll also be getting read—only support for PowerPoint documents, as well as full support for iWork, Apple's Office competitor.
Next up: the ability to move or delete groups of messages, or even save photos attached to e-mails in the iPhone's photo album (no mention of saving images from Web pages).
Rounding out the new Firmware 2.0 features: parental controls (including restrictions on YouTube and the iTunes Store—sorry, kids); a new and improved scientific calculator (just turn the iPhone on its side to get all the new buttons); and support for Chinese, Japanese, and other languages.
Applications
A series of developers demoed at least a dozen games and applications during the keynote. Among the highlights: Sega's previously announced Super Money Ball (now with 110 "stages"), an auction tracker from eBay, GPS—assisted social networking from Loopt (good for seeing if you have buddies nearby), a mobile blogging app (including photos) from TypePad, an AP news tracker complete with videos, and an app from Major League Baseball that'll real—time (or close to it) game highlights.
Games such as Super Monkey Ball will sell for $9.99 when the App Store launches, while the other apps I just mentioned will be free.
MobileMe
Looks like the leaks about a revamped .Mac were true. As expected, the service—now dubbed MobileMe—automatically syncs your e-mail, Address Book contacts, iCal events, and photos over the air between iPhones and Macs. Even better, MobileMe will support Outlook for PC users. Unfortunately, no price drop—we're still talking $99 a year, although there will be a free 60-day trial. Look for MobileMe to arrive in early July, along with the new iPhone firmware
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